economy
DoorDash pops 12% on strong earnings, upbeat order growth guidance
DoorDash is in the middle of a massive spending initiative as it builds out a new tech platform following a string of acquisitions.
TL;DR
- DoorDash shares increased by 12% following strong first-quarter financial results.
- First-quarter earnings per share were 42 cents, exceeding the expected 36 cents.
- Revenue for the first quarter was $4.04 billion, slightly below the $4.14 billion estimate.
- The company projects marketplace gross order value between $32.4 billion and $33.4 billion for the current quarter, surpassing analyst forecasts.
- DoorDash is significantly investing in technology, global expansion, AI, and integrating recent acquisitions.
- A relief program for drivers facing high gas prices is expected to cost over $50 million in the second quarter.
- Gross margin for the company was 51.9%, ahead of the 51.6% estimate.